What is going on?
With their deadlines already near, creditors now say they’re willing to make allowances and restructure the deal on one condition – the replacement of Gibson Brands Inc.’s current Chief Executive Officer Henry Juszkiewicz. Simply put, they are hesitant to throw in more investments as long as Juszkiewicz still heads the company. They are looking to install someone new to lead Gibson. An unnamed source shared this to Bloomberg.
“A lot of times bonds just get refinanced with the same group, but in this case we’re not too happy about doing that, so we’re looking at different financing options. Some of them are single group, some of them are tiered financing. We’ve talked to lots of people, we’ve had interest, and some people have done initial due diligence.” – Henry Juszkiewicz
This is getting really messy and while we’re no experts in these financial situations, one thing’s pretty clear – Gibson is in too deep. And it’s going to suck real bad if they can’t sort this out.